March 21, 1904.)
Hongkong and Shanghai Bank, Singapore,
cash with
Hongkong and Shanghai Bank, Hongkong,
cash with
Cash in hand.
Dr.
WORKING ACCOUNT.
To management, office expenses,
and gen- eral charges at Hongkong, Sandakan and Kudat
To exchange, loss on
To balance...
Cr.
By profit on sales of rough and sawn tim-
ber, &c.
By interest
By scrip fees
C.
CHINA OVERLAND TRADE REPORT.
1
225
trouble in looking after the interests of the: Mr. W DAVIES seconded, and the motion 40,986.75 hotel whilst in England. In fiet. he has spent was carii d.
a fair share of his holiday in inspecting Ou the motion of Mr. E. S. Joszeн, в Joud- 43,692.29 improvements, making purchases and engaging ed by Capt. CLARKE, Mr. W. Parfitt was
4,629.13
employees for the company without any re- re-lected to the directorate. $611,235.10 mune.ation. and I am sure the shareholders Mr. P. C. Pott: moved, Mr. F. D. GODDARD will agree that hearty thanks are due for the seconded, and it was agreed that Messrs. H. U. trouble taken and the warm interest shown by Jeffries and A. R. Lowe be re-elected directors. him in the welfare of the company. (Applause). | The CHAIRMAN— l'hat closes the business of Before proposing the adoption of the report the mesting, gentlemen, and nothing remains and statement of accounts, I shall be pleased to for me to do but tʊ thruk you for your attend- 33,456.63
answer any questions shareholders may wish to¦ance, and to say that dividend warrants will ba 3,281.17 50,093.64 put.
ready on Monday afternoon if shareholders will Mr. J. H. UNDERWOOD-I beg to propose kindly apply for them at the secretary's office. $86,831.44 that the usual $6 dividend be paid. On the We do not send them out by post now.
furniture account, during the last eighteen Cmonths, they have written off $25,000 and |
have only spent $13,454. which has 1,291.42 out of profits, I think this continued writin 10.50 off of the furniture, us ecially, and
might also mention th launch-is exorbitant. $86,281,44 It is a well-known fact that the furniture
in this place cannot be replaced, I don't! think I am wrong in saying, al thre times the amount. As regards repairs and renewals, one knows that, in a Colony lik this, the expenses are euorious, but I think that that has been carried a little too far. I beg to propose that the usual $6 dividend be paid.
The CHAIRMAN-Does anyone second this
$
85,529.52
HONGKONG HOTEL CO., LD.
ANNUAL MERTING.
In the Hongkong Hotel on the 19th inst.at noon the ordinary yearly meeting of the above Com- pany was held. Mr. B. C. Wilcox (chairman) presided, and there were also present Messrs W. Parfitt and W. Hutton Potts (directors), J. R. Michael, M. S. Northcote, J. H. Under. wood, H. C. Wilcox, E. S. Joseph, P. C. Potts, W. E. Clarke, A. Rodger, W. Davies, E. D. Haskell, Dr. Rennie, Messrs. F D. Goddard, and C. Mooney (secretary).
The SECRETARY having read the notice call ing the meeting,
amendment?
There was no second r
come
com
The following is the report - of the articles of association, the directors Gentlemen.--In accordance with Section 56
now beg to submit their report for the half-year ended 31st December, 1903.
ACCOUNTS.
The profit on working account amounted to $78 424.49 as compared with $90,165,45 for the corresponding period of 1902, showing a de- crease of $11,740.96,
The profit and loss account. including the sum of $13,659.41 brought forward from 30th June, 1901, shows a credit balance of $84,161.60, which the directors recommend should be apportioned as follows :-
To pay a dividend of 10 per cent, for To write off from value of furniture
the half-year...
and fixtures ...
..$60,000,00
To transfer to repairs and renewal i
account
10,000.00
10,000.00
3,161.60
$84,161.60
ELECTRIC LIGHT, The electric light has now been installed, and is working satisfactorily.
DIRECTORS.
Mr. W. Parfitt retires by rotation, but offers himself for re-election.
The CHAIRMAN then siid:-Gentlemen, The amendment has not been seconded. I may say I do not agree with Mr. Underw od, and I am quite sure the majority of the shareholders will feel that, if we could agree to cut down the amount devoted to renewals and repairs and
To write off from value of steam launch 1,000,00 depreciation we should have dou 8. It is not an easy task to
To carry forward to new account before the share. holders and propose a smaller dividend, but the primrose way-the easy way--is of course to! always make the dividend the same. I only regret we could not do so on this occasion. I think, myself, the dividen may have been rather too generous in the past, for we ought to j | build up a reserve. We ought to provide
for the re-building of the old building.
We shall not have to do so yet, but the time mus come when we shall have to rebuild it. We have to do a lot in repairing and repatching the old building from time to time, and the time for us to rebuild must come, and we should make a great deal more ont of it. That will have to be provided for. When we do get larger receipts, which I hope we shall receive when that new building on the reclamation is tenanted, then we ought to build up, in a systematic manner, a fund for that purpose.
It would save share- holders a great deal of trouble, and give them a great deal of profit. With regard to the using up of the whole amount for repairs and renewals, we may not do that in one half year, but in the next half year we may ne a
reat deal more.
The CHAIRMAN said-Gentlemen,-As the report of the directors and statement of accounts has been in your hands for some time, I propose, with
your permission, to take them as read.
As you will remark, the results of the working for the second half of 1903 exhibit a considerable decline on the same period of 1902, amounting to $11,740.96. This was chiefly due to the falling off in the number of transient guests, and also to the very appreciable decrease in the receipts from the bars. The balance at credit of profit and loss, including the sum of $13,659.41, brought forward from last half-year, amonats to $4,161.60, as compared with $93.272.09 in the corresponding half year of 1902. Under the circumstances, but with much regret, your directors did not feel justified in proposing the dividend of 12 per cent, whi h you have enjoyed for several previous half-years, and have accord- ingly recommended payment of $5 per share, or 10 per cent, to write off the usual sum of $10,000 from value of furniture and fixtures, the transfer of $10,000 to repairs and renewals fund, to write off $1,000 from value of steam-launch, and to carry the balance of $3,161.60 to new account. As I hear that the amount proposed as dividend has excited some dissatisfaction, I should like to point out that the proposed apportionment of the profits is the only one that, as faithful stewards and busi- Less men, we could prudently suggest, aud for the following reasons:-First, we have no reserve for equalisation of dividends. Secondly, it is absolutely necessary to make a generous pro vision for repairs and renewals. This fund is constantly being drawn upon; for part of the hotel building is very old and requires frequent and, sometimes, rather extensive re. pairs. Thirdly, our furniture, glassware. crock éry, carpets, curtains, &c., are subjected to very hard wear, and it is imperative that we should allow liberally for depreciation. I may add that machinery and fixtures have a kuack of giving out occasionally and requiring renewal, We have now had a fairly good experience of what wear and tear is in an establishment of this kind with careless Chinese servants; and as the fruit of that experience we have, for some years, maintained the amount for depreciation at $10,000 for each half-year, and a like sum has been devoted for repairs and renewals. To appropriate less than this would not be sound policy in such a concern. glad to say the electric light installation has been completed all over the building, and it is working well, the light being excellent; and the hotel is now, therefore, up to date in all depart ments. Mr. Osborne, our absent colleague, now! on his way out, has been to a great deal of
I am
|
AUDIT.
The accounts have been audited by Messrs. H. U. Jeffries and A. K. Lowe, C.A., who offer themselves for re-election.
R. CHATTERTON WILCOX, Chairman.
The accounts are as follows:-
BALANCE SHEET. 31st December, 1903. LIABILITIES.
$ C. Capital-
12,000 shares at $50 each (fully paid-up) 600,000,00 1,000 mortgage debentures,
authorised issue, at $500 $ c. each
500,000.00
Company
Reserve fund
Sundry creditors
Unclaimed dividends
Tess 420 ditto held by the For instance, if a boiler ives out we have to replace it, and the carpets are au expensive litem. The carpats have to be renewed and orders, in value thousands of dollars, to be sent home.
We cannot go by ¦ what has been spent during the last half
year. You have to take the whole result, and look at that. Well, gentlemen, if there are no other remarks--
Mr. J. R. MICHAEL-I see from the accounts that there are 1,000 mortgage debentures, authorised issu», at $500 each, less the 420 held by the company. Are these available to the public?
sell them.
I
Special reserve fund against installation
of electric light
210,000.00
290,000,00 100,000.00
30,577.27
3,189.00
20,000.00
Hongkong and Shanghai Banking Cor-
poration (overdrawn) Repairs and renewals account, balance
as per statement
38,3 15,48
771.23
84,161.60
$1,167,004,63
$
C.
Profit and los account, balance as per
statement..
ASSETS.
report: Marine lot No. 5 ard remain-
The CHAIRMAN-They are available to the public, Mr. Michael, and we shall be happy to Value of land and buildings as per last
tell may you they are in the Bank, which is advancing money on the strength of the debentures; but they would be glad to have the money.
Mr. MICHAEL-I only ask this because there is a certain class of people who prefer a steady and unfluctuating dividend; and I hope hey will apply.
The CHAIRMAN--They are an excellent security; in fact, they are as good as anything in the Colony.
Mr. MICHAEL-Quite so; they are better than anything else.
The CHAIRMAN-We are going to furnish the new building with the money from these debentures; but at present we have not got it. I beg to move the adoption of the report and accounts.
ing portion of marine lot No. 3........... Remaining portion of marine
lot No. 7
Praya reclamation-Cost of
land
New building on reclamation,
payments on account
$ C.
372,045.69
368,108.20
740,153.8
21,291.77
153,415.94
174,707.71
33,000.00
Cost of three Chinese houses on seo. B
C and D of inland lot No. 8) Value of furniture and fir-
tures, as par last report 86,197.67 Less written off, as recom-
mended in last report
Since added..
10,000.00
76,197.67 685.70
76,883.37
**